Escalating Demand For Anomaly Detection In Iot Networks Fuels Growth In generative AI Solutions Driver: Leading Transformation in the Generative AI in IoT Market in 2025

Which drivers are expected to have the greatest impact on the over the generative ai in iot market's growth?
An increase in the need for anomaly detection in IoT networks is set to fuel the expansion of generative AI in the IoT market. Anomaly detection in these networks is chiefly concerned with recognizing abnormal trends or actions in the data sourced from Internet of Things devices. The surge in demand stems from the necessity for improved security, prompt problem detection, and the capability to sustain the dependability and effectiveness of linked systems. Generative AI in IoT networks aids in anomaly detection by employing sophisticated algorithms to pinpoint unusual trends and actions, in turn, enhancing security, decreasing downtime, refining system performance, and facilitating proactive upkeep and decision-making. For example, a report from Check Point, an Israeli security software provider, recorded an unprecedented 41% rise in the average weekly attacks per organization targeting IoT devices in the first two months of 2023 than the previous year. On average, each week, an alarming 54% of organizations face cyber-attack attempts on their IoT devices. Consequently, the surging demand for anomaly detection in IoT networks is driving the development of AI in the IoT market.

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What is the future CAGR of the generative ai in iot market, and how will it impact industry expansion?
The market for generative AI in IoT has been expanding significantly in the past few years. The market size, which was at $1.58 billion in 2024, is projected to reach $2.03 billion in 2025, with an impressive Compound Annual Growth Rate (CAGR) of 28.3%. Factors contributing to this historic growth include the increased adoption of IoT devices, growing need for superior security, a push for enhanced operational efficiency, advancements in AI technology, an increase in data volumes, a heightened emphasis on predictive maintenance, and the advancement of cloud computing.

The market size for generative AI in IoT is anticipated to experience exceptional growth in the upcoming years, predicted to rise to $5.47 billion by 2029 with a CAGR of 28.1%. The projected growth during the forecast period is credited to increasing intricacy in IoT systems, unification of AI with edge computing, proliferation of smart cities projects, heightened spending in AI research and innovation, growth in natural language processing technology, mounting emphasis on customization, and advancements in AI regulation and standards. The significant trends expected during this period include developments in AI algorithms, amalgamation of generative AI with 5g technology, upsurge in autonomous systems, broadening of AI-fueled analytics, advent of edge AI solutions, escalation in AI-driven personalization features, and focus on energy efficiency.

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What are the most significant trends transforming the generative ai in iot market today?
Leading businesses engaged in the generative AI in IoT industry are prioritizing the creation of technologically sophisticated solutions such as AI IoT security aides, with an aim to boost operational effectiveness and to handle the cybersecurity skills shortage by employing generative AI. These AI-empowered security aides amplify cybersecurity by delivering real-time assessment of security incidents, automating the detection of threats, and yielding practical insights to diminish risks. For example, in May 2024, Fortinet Inc., a cybersecurity firm from the US, unveiled its inaugural generative AI IoT security aide as a component of its broader GenAI network and protective operation abilities. This novel service amalgamates FortiAI, Fortinet's superior context-aware AI aide, to improve network and security administration. The AI aide facilitates natural language inquiries, allowing IT and security crews to take on tasks such as GenAI-assisted scripting, IoT vulnerability discovery, and simplified threat assessment. This solution not only bridges the cybersecurity skill deficiency but also refines operations by making arduous tasks easier and quicker to carry out.

Which key market segments comprise the generative ai in iot market and drive its revenue growth?
The generative AI in IoT market covered in this report is segmented -

1) By Technology Providers: Established AI Technology Companies, IoT Platform Providers, Cloud Service Providers, Specialized Generative AI Startups
2) By Deployment Mode: On Device, Cloud Based
3) By Application: Anomaly Detection, Predictive Maintenance, Adaptive Control, Resource Optimization, Personalized Services, Contextual Decision Making
4) By Industry Vertical: Manufacturing, Healthcare, Transportation, Agriculture, Other Industries

Subsegments:
1) By Established AI Technology Companies: Major AI Solution Providers, Global Tech Enterprises, AI-Focused Research Labs, AI Hardware Providers
2) By IoT Platform Providers: End-to-End IoT Platform Vendors, IoT Device Management Providers, Edge Computing Platform Providers, Connectivity Management Solutions
3) By Cloud Service Providers: Cloud Infrastructure Providers, Cloud-Based AI And ML Service Providers, Hybrid Cloud Solution Providers
4) By Specialized Generative AI Startups: Niche AI Startups Focused On IoT Integration, Emerging AI-Driven IoT Solutions Companies, Vertical-Specific AI Startups, Edge AI And Analytics Startups

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What regions are at the forefront of generative ai in iot market expansion?
North America was the largest region in the generative AI in IoT market in 2024. The regions covered in the generative AI in IoT market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

Who are the leading players fueling growth in the generative ai in iot market?
Major companies operating in the generative AI in IoT market are Google LLC, Microsoft Corporation, Dell Technologies Inc., Bosch Group, Huawei Technologies Co. Ltd., Amazon Web Services Inc. (AWS), Siemens AG, General Electric Company (GE), Intel Corporation, accenture* plc, International Business Machines Corporation (IBM), Cisco Systems Inc., Qualcomm Incorporated, Oracle Corporation, Schneider Electric SE, Honeywell International Inc., SAP SE, Fujitsu Limited, NVIDIA Corporation, Keysight Technologies Inc, Fortinet, Inc, Hitachi Vantara LLC, PTC Inc., Palantir Technologies Inc., Temenos AG, C3.AI inc.

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What Is Covered In The Generative AI in IoT Global Market Report?

•Market Size Forecast: Examine the generative ai in iot market size across key regions, countries, product categories, and applications.
•Segmentation Insights: Identify and classify subsegments within the generative ai in iot market for a structured understanding.
•Key Players Overview: Analyze major players in the generative ai in iot market, including their market value, share, and competitive positioning.
•Growth Trends Exploration: Assess individual growth patterns and future opportunities in the generative ai in iot market.
•Segment Contributions: Evaluate how different segments drive overall growth in the generative ai in iot market.
•Growth Factors: Highlight key drivers and opportunities influencing the expansion of the generative ai in iot market.
•Industry Challenges: Identify potential risks and obstacles affecting the generative ai in iot market.
•Competitive Landscape: Review strategic developments in the generative ai in iot market, including expansions, agreements, and new product launches.

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